Table of contents
Maybe you’ve spent nights dreaming about how to open a restaurant of your own – from the perfect location and ambience to the delicious food and friendly staff. Perhaps you’ve worked in hospitality, built up your skills and now feel ready to step into the role of restaurant owner. You might have a unique recipe you can’t wait to share. Or maybe you’re just curious about how to start a restaurant in Australia. Whatever your starting point, this guide will help you to understand what it takes to turn that idea into something real.
Choose a restaurant concept
Before getting into the details of how to start a restaurant, it helps first to pin down your restaurant concept – the big-picture idea or vision that brings everything together. What will you serve? And how? For example, your concept might include aspects like:
- Food: e.g. Mexican share plates, classic pub fare, fresh seafood, plant-based bowls, all-day brunch menu
- Theme: e.g. coastal, retro, traditional, modern, culturally inspired, farm to table
- Service style: e.g. casual, fine dining, family-friendly, fast food, takeaway, cafe, food truck
- Focus: e.g. budget-friendly, premium, authentic, indulgent comfort food, health-conscious, sustainable, community-focused, convenient, experimental
- Vibe: e.g. cosy, lively, elegant, trendy, intimate, fun, rustic, relaxed
Your concept also influences your restaurant’s brand (more on this later) and how you present it to customers, from the menu and decor to the overall experience.
Create a winning menu
Your menu is a chance to show what makes your restaurant unique. Including signature dishes or standouts can help your restaurant stay memorable. Take dietary preferences and local tastes into account so your menu feels inclusive and appealing. At Johnny Alloo, the house-made gnocchi does just that – soft potato dumplings fried until golden, tossed with snow peas, finished with fresh mint and a slice of lemon. It’s vegetarian-friendly, plated with flair and naturally catches attention.
Planning your offerings requires balancing variety with simplicity. A menu that’s too large might make service more challenging and create extra food waste, while a very small menu could leave diners wishing for more options. Similarly, too many complex or costly dishes might be complicated to prepare and less profitable.
Ultimately, your menu should support your concept and work well in practice. For example, a burger joint might offer a range of core burgers, but keep the base ingredients consistent so the kitchen can work more efficiently. A small Italian cafe could build its menu around a handful of pastas and pizzas, and make them customisable with add-ons to give customers variety without doubling the workload. Or a modern restaurant might rotate a couple of seasonal dishes every month while keeping customer favourites year-round. These small tweaks make life simpler in the kitchen while still giving diners variety.
Write your restaurant business plan
Putting together a business plan is useful for organising your ideas, getting clarity on how your restaurant will work and setting out a clear path for success. It’s also essential for presenting to potential partners, lenders or investors. Here are the key sections to cover in your plan, with question prompts to guide your thinking:
- Executive summary: What’s your mission? What do you want your restaurant to be and why?
- Market and competitive analysis: Who are your target customers? What do nearby venues offer? What’s already popular, and where are the gaps you could fill? Back this up with simple research – competitor menu pricing, surveys or even foot traffic counts.
- Operations plan: How will things run day to day? Outline staffing, suppliers, kitchen workflow, service style and customer experience.
- Marketing and financial plans: How will you get the word out? Which marketing channels will you use? What are your setup costs, running costs and forecast sales? How will you fund the business and manage cash flow?
Perform market research
Market research is a big part of any strong business plan, helping you understand your customers, spot opportunities, strengthen ideas and back up your concept with evidence. This step-by-step guide offers a deeper dive into how to analyse the market and how to write a winning restaurant business plan.
Fund your restaurant
Working out how to start your own restaurant with the right financing in place is a key step. The costs involved vary widely depending on your concept, location and size, so it’s helpful to explore different options:
- Traditional bank loans: Provide stable funding with predictable repayments, though they come with strict credit requirements
- Angel investors or venture capital: Offer larger sums of money and experienced guidance. Useful if you want to scale quickly, but may require giving up equity or some control
- Revenue-based financing: Repayments are a small percentage of daily sales, so you only pay when you earn
- Friends and family: Support from people you know, often with favourable terms
- Government grants or incentives: May offer financial support that doesn’t need to be repaid
- Crowdfunding: Builds early customer engagement while raising funds
- Personal savings: Full control over your business and decision-making
When deciding which funding option is right for you, consider how it aligns with your projected cash flow, growth plans, the level of financial risk you are willing (and able) to take and the level of business control you want to retain. Think about timing, too – some sources provide funds quickly, others take longer. Compare short-term versus long-term costs, including interest or equity implications, and how repayments might fluctuate with your sales. It’s also worth mapping out multiple scenarios for your budget and break-even point to see which option is most sustainable. Chatting with a financial advisor or someone experienced in the restaurant industry can provide perspective and help you make a more informed choice.
Find the right location and plan your layout
Deciding where to open your restaurant is a strategic choice that shapes your business from day one. Assess potential sites for foot traffic, local demographics, nearby competition, accessibility and visibility. Keeping a simple table of your findings helps you compare options and choose a location that fits your concept and target audience.
Consider the customers you want to serve and whether your idea aligns with local demand. For instance, a fine-dining seafood restaurant might struggle on a quiet suburban strip where the crowd is casual and on-the-go, but could thrive in a busy harbourside precinct popular with tourists and locals seeking an elevated experience. The location also influences your restaurant’s vibe. High-traffic strips bring a steady stream of walk-ins, while quieter, tucked-away spots offer a sense of discovery and exclusivity. Both approaches can work – by attracting a reliable flow of visitors or cultivating a loyal following of diners who feel they’ve found something special.
If you’re looking to lease a space, think long term and check the fine print – especially aspects such as rent increase clauses, fit-out responsibilities and exit terms – and don’t be afraid to negotiate terms and costs to fit your plans.
Once you have your space, plan your layout to support both service flow and comfort. In the front of house, aim for a welcoming atmosphere with enough space to meet your seating capacity goal, clear pathways between tables and easy accessibility for all guests. For the back of house, design the kitchen for efficiency so staff can move quickly between prep, cooking and plating areas without bottlenecks. Storage, dishwashing and waste disposal areas also need careful planning to ensure service runs smoothly.
Hospitality Hub notes that Australian venues are increasingly incorporating open kitchens. This gives diners a sense of theatre while keeping chefs and floor staff connected in real time. It’s an approach that lifts the atmosphere while making service feel seamless.
Equip your restaurant
Next, think about the equipment you’ll need. The kitchen is the core of your operation, so focus on essentials like:
- Cooktops and ovens
- Refrigeration units (fridges, freezers, walk-ins)
- Food preparation tools (mixers, slicers, cutting boards, knives)
- Dishwashers and sinks
- Ventilation systems and exhaust hoods
- Storage solutions (shelving, containers)
- Cookware (pots, pans, trays, utensils)
- Small appliances (blenders, toasters, microwaves)
- Waste bins
Then there’s the furniture, dining and service equipment, and items that help create the right atmosphere:
- Tables and chairs
- Serving stations and counters
- Crockery, glassware, cutlery, napkins
- Menu holders and signage
- Lighting and decor
- Sound system or music setup (if playing music)
- Waiting area seating (if needed)
If you’re deciding between new or second-hand equipment, balance budget considerations with reliability and efficiency. It’s worth investing in good-quality items where it counts, but there are places where second-hand can work just fine if you’re working with a small budget. A good starting point is searching online for ‘buy second-hand restaurant equipment’ – you’ll find a variety of suppliers across Australia that refurbish and sell commercial-grade kitchen equipment.
Get the correct food safety, licences and permits
Restaurant safety protocols and food handling are top priorities for the industry, so it’s essential to get your legal paperwork sorted early on as you explore how to open a restaurant in Australia.
You’ll need to register as a food business, and the specific requirements vary by state or territory. A great place to start is the Australian Business Licence and Information Service (ABLIS). This free quiz tool helps you find what licences, registrations and approvals apply to your business, no matter where you are in Australia. Depending on your concept and location, other typical licences you might need include:
- A liquor licence if you plan to serve alcohol
- Permits for signage
- Approvals for outdoor seating
- A music licence for playing in-venue music (e.g. live bands, DJs) or streamed music (e.g. radio, Spotify)
To keep customers safe and prevent food-borne illnesses, the restaurant industry is heavily regulated. The Australia New Zealand Food Standards Code sets the rules that all food businesses must follow to comply with food laws and ensure that food is safe and suitable. Your local council’s environmental health officer oversees compliance with these standards and can offer advice to help you meet requirements and pass inspections.
By understanding the regulations, securing the necessary licences and permits, and following food safety practices, you’ll protect your reputation and maintain customer trust.
Hire the right restaurant staff
Building a great team helps your restaurant run smoothly and deliver the experience you want. Recruit for the key roles you’ll need right from the start: chefs, servers, kitchen hands and hosts.
Consider looking beyond experience alone – attitude, reliability and a willingness to learn can be just as important. Superfreak focuses on hiring people who bring energy and positivity to the role. “We generally hire based on personality rather than skill because we know that we can train skill,” said co-owner Mike Ico.
In Square’s 2025 Future of Restaurants survey, 40% of Australian restaurant leaders said hiring has become harder, with over half pointing to higher job expectations – like flexible hours and a positive company culture – as a key reason. This means it’s not just about finding the right fit, but also offering an environment that meets these evolving expectations.
Some onboarding and training ideas that help set your team up for success include:
- Structured induction: Give new hires a clear introduction to your menu, service standards and kitchen processes.
- Shadow shifts: Let them observe experienced staff in action before taking the lead.
- Checklists or guides: Simple visual aids for procedures, cleaning routines or plating standards reduce mistakes.
- Ongoing feedback: Regular, supportive feedback helps people improve quickly and feel valued.
- Team culture: Encourage respect, communication and collaboration. A positive workplace shows in the service your guests receive.
Set up payments and POS
When it’s time to take payments, a fast, reliable point of sale (POS) system makes setup and checkout easier for both your customers and your team.
Start by choosing a payment processor. This is the service that handles card transactions and gets money to your bank. Look for one that accepts all major credit cards, offers transparent processing fees (with no hidden costs) and transfers funds to your bank account quickly.
You’ll need restaurant POS software to help you manage orders and payments. It should support all popular payment methods, including debit and credit cards, contactless payments, and mobile wallets like Apple Pay and Google Pay. On the hardware side, look for EFTPOS machines that integrate seamlessly with your POS software, so all orders, payments and receipts sync automatically, whether customers are ordering at the counter or their tables. Don’t forget other POS accessories like receipt printers and cash drawers.
Run your restaurant with management software
Beyond taking payments, restaurant management tools can streamline operations, reduce errors and save time, helping your business run more smoothly and profitably. They handle tasks like:
- Inventory tracking to manage ingredients and forecast supplies
- Built-in tipping to increase tip flow
- Menu management with modifiers for special requests
- Order routing to kitchen display systems for better communication
- Staff scheduling, time tracking and payroll prep
- Real-time sales reporting to track performance
- Integration with apps for table reservations, food delivery, accounting and more
The thing we love about Square is the reporting functionality. The visibility that our reporting provides is so critical for our business – we’re able to see what’s selling, what’s not, and what things we may need to improve on. That greatly informs our business decisions.”
Matthew Keeley → Co-Owner, Lunetta
Build your brand
Your brand is the personality of your restaurant. It’s what makes you different and memorable in a market full of options. Defining your brand identity early, including your business name, colours, logo, tone of voice and overall vibe, lays the groundwork for everything that follows.
Branding is about how you communicate your story and values across every touchpoint. That means ensuring the visual elements – menu design, signage, uniforms, website and social media – all reflect a consistent look and feel, as well as the way you speak to your audience through the written elements. Using your brand’s voice and visuals consistently in all marketing helps build recognition and trust.
Design your restaurant’s interior
Inside your restaurant, your brand comes alive through interior design. Thoughtful choices in colour, lighting, furniture, decor and music work together to support your concept and contribute to the atmosphere. Vegie Bar, for example, matches its focus on healthy, wholesome food with a warm, rustic setting – a converted warehouse filled with natural afternoon light, bar tables overlooking the street, retro lamps overhead and leafy pot plants dotted throughout.
Read more tips on how to build a brand for your restaurant.
Market and launch your restaurant
As you prepare to open your doors, you’ll want to think about how to start a restaurant marketing campaign that sparks interest. Here are three approaches to draw in customers:
- Hold a soft opening. Hosting a soft launch intrigues a crowd, gets people talking about your restaurant and builds hype. It also offers a valuable chance to give your team, menu and operations a practice run with a smaller crowd. Feedback gathered here helps you fine-tune the experience before your official opening.
- Use a marketing mix. Combining traditional with digital marketing can help you reach a wider audience. While handing out flyers or advertising in the local paper still has its place, social media, content marketing and email campaigns provide cost-effective ways to connect with people and build interest. Experiment with different approaches to find what works for your restaurant.
- Build a loyal following. Launch with a loyalty program or opening specials that encourage customers to return soon after their first visit. Turning those first-timers into early fans can generate buzz. Word of mouth remains one of the most powerful ways to grow your business, with 54% of Aussies ranking it the top influence on their purchase decisions.
Embrace restaurant tech trends
Trends in the restaurant industry go beyond the latest food fads. Technology is playing a bigger role in how venues run and how guests experience their visit.
Digital menu boards and QR code menus allow restaurants to update offerings in real time without reprinting menus. Immediate customer feedback tools, such as those built into digital receipts, give diners an easy way to share their thoughts right after a meal. These help restaurants address any issues quickly and spot trends to improve service or dishes. Tableside ordering tablets and self-ordering kiosks let customers order and pay for their food and drinks, giving them more control and freeing up staff for other tasks.
Square’s 2025 survey revealed nearly four in five Australian restaurant leaders recognise the substantial return on investment that AI and automation deliver. For example, inventory automation helps manage stock and reduce waste, while AI-powered analytics reveal sales patterns to guide smarter decisions. Automated marketing delivers targeted campaigns that keep diners engaged and your brand top of mind. Exploring new tools means you can adopt what suits your business best and keep your restaurant ahead of the curve.
Will your restaurant be successful?
It’s the big question on every new owner’s mind as they figure out how to open a restaurant. There’s no single formula. Success takes dedication, flexibility, and a strong connection to your vision and customers. Challenges will come, but persistence and a willingness to adapt will help you grow.
For Pasta Prego co-owners Isaac Varano and Lorenzo Fantarella, finding the right approach means plenty of trial and error. “It’s building something, and being able to tweak things and go, ‘How did that work out?’”
Co-owner of Quick Brown Fox, Benjamin Calabro, advises fellow restaurateurs: “Ultimately, if people like what you do, they’ll pay. And it means that you get to hang around and you get to provide that.” He also highlights the value of industry connections for sharing insights and support – a helpful reminder that you don’t have to navigate this journey alone.
Nic, Nathan and Casper, co-founders of Fishbowl – now a thriving chain with over 50 stores – consider a beginner’s mindset as a strength. “It would be easy for someone to say ‘don’t do it’ because they assume that you’re a uni student with no experience, but in hindsight, I think that was probably one of the things that really worked to our advantage.”
Remember, it’s normal to hit bumps along the way. Keeping an open mind and learning as you go builds the kind of business that lasts and that customers will love.
